(a) Bank, its parent or holding company or any
subsidiary thereof, trust company, savings bank, savings and loan association,
credit union, industrial bank or industrial loan and investment company,
organized and regulated under the laws of this state or of the United States;

(b) Foreign banking corporation licensed to do
banking business in this state; or

(c) Telegraph company providing a public message
service.

2. Subsection 1 does not reduce or alter
any liability otherwise attaching to the sale, issuance, receipt for
transmission or transmission of checks or money in any form.

(Added to NRS by 1977, 1083; A 1983, 153)

NRS 671.030Regulations.The
Commissioner may adopt such reasonable regulations as may be necessary or
appropriate for the administration of this chapter.

1. Every application for a license
required pursuant to this chapter must be in writing, signed by the applicant,
and in the form prescribed by the Commissioner.

2. The application must contain:

(a) The name and principal business address of
the applicant and, if incorporated, the date and place of its incorporation;

(b) The name and address of each of the
applicant’s branch offices, subsidiaries or affiliates, if any, which will be
operated under the license;

(c) The name and addresses, business and
residential, of the proprietor or partners of the applicant or, if the
applicant is a corporation or association, of each of the directors, trustees
and principal officers, and of any stockholder who owns 20 percent or more of
the applicant’s stock; and

(d) Such other pertinent information as the
Commissioner requires.

3. The application must be accompanied by:

(a) A surety bond or securities as required by
this chapter.

(b) A certified financial statement, satisfactory
to the Commissioner, showing that the applicant’s net worth exceeds $100,000,
unless the applicant’s surety bond or the securities deposited pursuant to NRS 671.110 are in at least twice the minimum
principal sum required by NRS 671.100.

(c) A nonrefundable fee of not more than $500 for
the application and survey. The applicant shall also pay such additional
expenses incurred in the process of investigation as the Commissioner deems
necessary.

(d) A fee of not less than $200 or more than $400,
prorated on the basis of the licensing year as provided by the Commissioner.

4. The Commissioner shall adopt
regulations establishing the amount of the fees required pursuant to this
section. All money received by the Commissioner pursuant to this section must
be placed in the Investigative Account created by NRS 232.545.

5. The Commissioner shall consider an
application to be withdrawn if the Commissioner has not received all information
and fees required to complete the application within 6 months after the date
the application is first submitted to the Commissioner or within such later
period as the Commissioner determines in accordance with any existing policies
of joint regulatory partners. If an application is deemed to be withdrawn
pursuant to this subsection or if an applicant otherwise withdraws an
application, the Commissioner may not issue a license to the applicant unless
the applicant submits a new application and pays any required fees.

NRS 671.055Application for license: Additional requirements.In addition to any other requirements set
forth by specific statute, each person who applies for a license to engage in
the business of selling or issuing checks or of receiving for transmission or
transmitting money or credits must submit proof satisfactory to the
Commissioner that the person:

1. Is at least 21 years of age; and

2. Is a citizen of the United States or
lawfully entitled to remain and work in the United States.

1. Upon the filing of the application,
payment of the fees and approval of the surety bond or securities, the
Commissioner shall investigate the financial condition and responsibility, the
financial and business experience, and the character and general fitness of the
applicant and may investigate any partners, directors, trustees or principal
officers of the applicant.

2. If the Commissioner determines that the
business of the applicant will be conducted lawfully, honestly, fairly and
efficiently, the Commissioner shall issue a license to the applicant to engage
in the business of selling and issuing checks, receiving for transmission or
transmitting money or credits, or both.

1. A license issued pursuant to this
chapter expires on June 30 of the year following its issuance and thereafter
expires on June 30 of each year, unless it is earlier surrendered, suspended or
revoked.

2. The license may be renewed from year to
year upon the approval of the Commissioner if the licensee files an application
conforming to the requirements for an initial application at least 60 days
before the expiration of his or her current license.

3. An application for the renewal of the
license must be accompanied by a fee of not more than $400. No investigation
fee may be charged for the renewal of the license. If the application or fee
for renewal is not filed within the required time, the Commissioner may renew
the expired license upon receipt of the application and fee for renewal, and a
fee of not more than $400 for late renewal.

4. The Commissioner shall adopt
regulations establishing the amount of the fees required pursuant to this
section. All fees collected pursuant to this section must be deposited in the
State Treasury pursuant to the provisions of NRS
658.091.

NRS 671.080License not transferable or assignable; business must be
conducted at specified location by agent of licensee; changes in location, name
or operation of business.

1. A license issued under this chapter is
not transferable or assignable.

2. The license entitles the holder to
engage in business only at the location or locations specified in the
application or at a location or locations operated by a duly appointed agent of
the licensee.

3. A change must not be made in:

(a) The location of any place of business covered
by the license;

(b) The name of the licensed business; or

(c) The licensee’s operation or services if the
nature of the change affects the qualification for the license,

1. A separate license is not required for
an agent of a licensee unless the agent directly sells or delivers the
licensee’s checks over the counter to the public and, in the ordinary course of
such business, receives or has access to:

(a) The licensee’s checks which, after payment,
are returned through banking channels or otherwise for verification,
reconciliation or accounting with respect thereto; or

(b) Bank statements relating to checks so returned.

2. Each agent of a licensee who must be
licensed pursuant to subsection 1 must:

(a) Submit an application to the Commissioner
which is in writing, signed by the applicant and on a form prescribed by the
Commissioner;

(b) Pay an application fee of not less than $200
and not more than $500; and

(c) Pay a license fee of not less than $200 and
not more than $500.

3. The Commissioner shall adopt
regulations establishing the amount of the fees required pursuant to this
section.

4. The Commissioner shall consider an
application to be withdrawn if the Commissioner has not received all
information and fees required to complete the application within 6 months after
the date the application is first submitted to the Commissioner or within such
later period as the Commissioner determines in accordance with any existing
policies of joint regulatory partners. If an application is deemed to be
withdrawn pursuant to this subsection or if an applicant otherwise withdraws an
application, the Commissioner may not issue a license to the applicant unless
the applicant submits a new application and pays any required fees.

1. Except as provided in NRS 671.110, each licensee shall have in force a
surety bond payable to the State of Nevada for the use and benefit of any
holder of any outstanding check sold or issued by a licensee in the normal
course of business and for value in the following minimum principal sums:

(a) For the first location granted in the
license, $10,000; and

(b) For each additional location in this State
where its business is conducted directly or through an agent, $5,000.

Ę The maximum
amount of any surety bond required under this subsection is $250,000.

2. The bond must be in a form satisfactory
to the Commissioner, issued by a bonding company authorized to do business in
this State, and must secure the faithful performance of the obligations of the
licensee respecting the sale or issuance of checks and receipt for transmission
or transmission of money or credits.

3. A licensee shall, within 10 days after
the commencement of any action or notice of entry of any judgment against the
licensee by any creditor or claimant arising out of business regulated by this
chapter, give notice thereof to the Commissioner by registered or certified
mail with details sufficient to identify the action or judgment. The surety
shall, within 10 days after it pays any claim or judgment to a creditor or
claimant, give notice thereof to the Commissioner by registered or certified
mail with details sufficient to identify the creditor or claimant and the claim
or judgment so paid.

4. Whenever the principal sum of the bond
is reduced by recoveries or payments thereon, the licensee shall furnish:

(a) A new or additional bond so that the total or
aggregate principal sum of the bonds equals the sum required under subsection
1; or

(b) An endorsement, duly executed by the surety
reinstating the bond to the required principal sum.

5. The liability of the surety on the bond
to a creditor or claimant is not affected by any misrepresentation, breach of
warranty, failure to pay a premium or other act or omission of the licensee, or
by any insolvency or bankruptcy of the licensee.

6. The liability of the surety continues
as to all transactions entered into in good faith by the creditors and
claimants with the licensee’s agents within 30 days after:

(a) The licensee’s death or the dissolution or
liquidation of the licensee’s business; or

(b) The termination of the bond,

Ę whichever
event occurs first.

7. Whenever the Commissioner determines
that the protection of the public so requires, the Commissioner may order that
an increase be made in the principal sum of the bond of any licensee, except
that the Commissioner may not order an increase of more than $10,000 if the
licensee has submitted a current financial statement, or more than $15,000
otherwise.

8. Neither a licensee nor the licensee’s
surety may cancel or alter a bond except after notice to the Commissioner by
registered or certified mail. The cancellation or alteration is not effective
until 10 days after receipt of the notice by the Commissioner. A cancellation
or alteration does not affect any liability incurred or accrued on the bond
before the expiration of the 30-day period designated in subsection 6.

1. In lieu of any surety bond, or any
portion of the principal sum thereof as required by this chapter, a licensee may
deposit with the State Treasurer or with any bank, credit union or trust
company authorized to do business in this state as the licensee may select,
with the approval of the Commissioner:

(a) Interest-bearing stocks;

(b) Bills, bonds, notes, debentures or other
obligations of the United States or any agency or instrumentality thereof, or
guaranteed by the United States; or

(c) Any obligation of this state or any city,
county, town, township, school district or other instrumentality of this state
or guaranteed by this state,

Ę in an
aggregate amount of, based upon principal amount or market value, whichever is
lower, of not less than the amount of the required surety bond or portion
thereof.

2. The securities must be held to secure
the same obligation as would the surety bond, but the depositor may receive any
interest or dividends and, with the approval of the Commissioner, substitute
other suitable securities for those deposited.

NRS 671.120Examination of licensee by Commissioner; entry upon premises and
access to documents; fee; audit in lieu of examination.

1. Except as provided in subsection 4,
once each year the Commissioner shall examine the financial accounts of each
licensee and any other documents relevant to the conduct of the licensee’s
business, and the Commissioner may conduct examinations at additional times.

2. For the purpose of the examinations,
the Commissioner may enter upon any of the business premises of a licensee or
the licensee’s agents and obtain access to the relevant documents. Any
obstruction or denial of such an entry or access is a violation of this
chapter.

3. For each examination the Commissioner
shall charge and collect from the licensee a fee for conducting the examination
and in preparing and typing the report at the rate established pursuant to NRS 658.101.

4. The Commissioner may accept a report of
an audit of the licensee which covers the most recent fiscal year in lieu of
conducting an examination.

NRS 671.140Schedule of rates: Posting; excess fees prohibited.In every place of business licensed or covered
by a license under this chapter, there shall be conspicuously posted at all
times a schedule of the rates charged for the sale or issuance of checks and
the receipt for transmission or transmission of money or credits. No fees may
be charged or collected in excess of the posted rates.

1. All money or credits received by an
agent of a licensee from the sale and issuance of checks or for the purpose of
transmission must be remitted to the licensee or deposited with a bank or
credit union authorized to do business in this state for credit to an account
of the licensee not later than the third business day following its receipt.

2. Money received from the sale or
issuance of checks or for the purpose of transmission must not be commingled
with the other assets of the licensee or his or her agents.

3. If a license is suspended or
terminated, the licensee shall immediately deposit in an account in the name of
the Commissioner, an amount which is sufficient to make the total money in the
account equal to all outstanding checks in the State of Nevada sold or issued
and money or credits received but not transmitted.

4. Each licensee shall at all times
maintain liquid assets, government or municipal securities or other marketable
securities having a value, computed in accordance with generally accepted
accounting principles, equal to or more than the aggregate liability of the
licensee with respect to checks sold and issued and money or credits received
for transmission.

NRS 671.160Discontinuance of licensee’s business: Notice; surrender of
license; order of Commissioner; possession of business and property by
Commissioner; appointment of receiver.

1. Within 5 days after a discontinuance of
a licensee’s business, the licensee shall inform the Commissioner of the
discontinuance and shall surrender his or her license for cancellation.

2. If, as a result of any investigation,
hearing, report or examination, the Commissioner finds that a licensee is
insolvent or is conducting his or her business in such a manner as to render
the licensee’s further operations hazardous to the public, the Commissioner
may, through an order served by registered or certified mail upon the licensee
and any person possessing money of the licensee or the licensee’s customers,
require the immediate discontinuance of the disbursement of the money and the
cessation of the licensee’s business. The order remains in effect until:

(a) It is set aside, in whole or in part, by the
Commissioner;

(b) The licensee has been adjudged a bankrupt; or

(c) A receiver for the licensee has been
appointed by a court of competent jurisdiction.

3. If a court does not have jurisdiction
over the licensee, the Commissioner may take possession of the licensee’s
business and property until the licensee complies with the requirements of the
Commissioner for resumption of business or the licensee’s affairs are finally
liquidated.

4. Whenever the Commissioner takes
possession of a licensee’s business and property, the Commissioner may petition
the court for appointment of a receiver to liquidate the affairs of the
licensee.

1. The Commissioner may conduct any
necessary investigations and hearings to determine whether any licensee or
other person has violated any of the provisions of this chapter or whether any
licensee has conducted himself or herself in a manner which requires the
suspension, revocation or denial of renewal of his or her license.

2. In conducting any investigation or
hearing pursuant to this chapter, the Commissioner, or any person designated by
the Commissioner, may require the attendance and testimony of any person and
compel the production of all relevant books, records, accounts and other
documents. The cost of any examination or investigation, not to exceed $10 an
hour, must be borne by the licensee.

3. The Commissioner may require any
licensee to submit such reports concerning the licensee’s business as the
Commissioner deems necessary for the enforcement of this chapter.

4. Except as otherwise provided in NRS 239.0115, all reports of
investigations and examinations and other reports rendered pursuant to this
section, and all correspondence and memoranda relating to or arising therefrom,
including any authenticated copies thereof in the possession of any licensee or
the Commissioner, are confidential communications, are not subject to any
subpoena, and must not be made public unless the Commissioner determines that
justice and the public advantage will be served by their publication. This
subsection does not preclude any party to an administrative or judicial
proceeding from introducing into evidence any information or document otherwise
available or admissible.

1. If the Commissioner has reason to
believe that grounds exist for the suspension, revocation or denial of renewal
of a license, the Commissioner shall give 10 days’ written notice to the
licensee, stating the grounds therefor, and shall set a date for a hearing, if
a hearing is requested by the licensee. If the protection of the public so
requires, the Commissioner may suspend the license at any time before the
hearing.

2. At the conclusion of the hearing, the
Commissioner shall enter a written order either dismissing the charges or
suspending, revoking or denying the renewal of the license. The order must
include a statement of the grounds for the action taken by the Commissioner and
becomes effective 10 days after receipt of a copy of the order by the licensee
at the licensee’s principal place of business. The Commissioner may immediately
suspend, revoke or deny the renewal of the license in a case where the licensee
has failed to maintain in effect the required surety bond or insurance policy.

3. The grounds for suspension, revocation
or denial of renewal of a license are:

(a) Failure to pay the annual fee for renewal or
the fee for late renewal;

(b) Failure to maintain in effect the required
bond or securities;

(c) Fraud, misrepresentation or omission of any
material fact in any application, statement or report;

(d) Failure to pay any judgment arising from the
licensee’s business within 30 days after the judgment becomes final or within
30 days after the expiration of a stay of execution on the judgment; or

(e) Violation of any provision of this chapter or
any regulation adopted or order issued by the Commissioner pursuant to this
chapter.

4. Any action taken by the Commissioner
pursuant to this section is subject to judicial review in the first judicial
district court.

1. If a licensee fails to submit any
report required pursuant to this chapter or any regulation adopted pursuant
thereto within the prescribed period, the Commissioner may impose and collect a
fee of not more than $10 for each day the report is overdue.

2. The Commissioner shall adopt
regulations establishing the amount of the fee that may be imposed pursuant to
this section.